The Mortgage Bankers Association’s Market Composite Index – which measures loan application volume – was up 0.4% on a seasonally adjusted basis last week. On an unadjusted basis, the index increased 14% from the week prior. The Refinance Index was up 3% from the previous week. The Purchase Index, meanwhile, decreased 4% on a seasonally adjusted basis from the previous week. On an unadjusted basis, the Purchase Index increased 14% last week from the week prior, and was 17% lower than the same week a year ago.
The refinance share of mortgage activity remained steady at 62% of total applications. The adjustable-rate mortgage share increased to 8% of total mortgage activity.
Average interest rates for mortgages decreased across the board, according to MBA. Interest rates were at their lowest levels since November, except for rates on the 5/1 ARM, which hit their lowest rate since December.
The average rate for 30-year fixed rate mortgages with conforming loan balances dropped to 4.47% last week from the previous week’s 4.52%. The average rate for 30-ear FRMs with jumbo loan balances dropped to 4.42% from the previous week’s 4.47%.
The average rate for Federal Housing Administration-backed 30-year FRMs dropped from 4.18% to 4.12% last week. The rate for 15-year FRMs, meanwhile, dropped to 3.53% last week from the prior week’s 3.59%.
The average rate for 5/1ARMS dropped to 3.15% last week from the previous week’s average of 3.25%.
Mortgage applications were up slightly last week as mortgage rates fell, according to data released Wednesday.